Ethereum News Today: Ethereum Surges 16% to $3,280, Institutional Inflows Drive Bullish Momentum

Ethereum has recently broken through the $2,800 resistance level, with bulls taking control of the price action. At the time of writing, ETH is trading above $3,280 for the first time since February, positioning itself just 9.65% away from a significant four-year breakout that could push it beyond its 2021 all-time high of $4,891.

With a bull flag pattern forming and trading volume surpassing $40 billion, it is anticipated that Ethereum will surpass $3,500 before the weekend. This could potentially lead to a reclaim of the key $4,000 psychological level sooner than expected.

Ethereum has outperformed other cryptocurrencies across major metrics in recent periods. Data from SosoValue indicates that Ethereum has seen daily inflows from institutional investors through ETFs for eight consecutive trading sessions, with an average daily purchase of $120 million. BlackRock, through its ETHA index, has accumulated over $5 billion worth of Ethereum, with more than $1 billion in ETH accumulated between June and the present time.

Ethereum co-founder Joseph Lubin is implementing a strategy similar to Michael Saylor's approach with Bitcoin, focusing on Ethereum. Tom Lee, chief investment officer at Fundstrat, noted that ETH has remained range-bound since 2021. However, the growth of stablecoins and Wall Street’s tokenization of real-world assets is driving increased demand for the DeFi blockchain. Transaction activity on Ethereum is also accelerating, with over 1.2 million daily transactions, indicating renewed investor interest.

SharpLink Gaming has been aggressively accumulating positions, building a $974 million ETH portfolio. The company recently purchased and staked an additional $15.8 million of ETH into its LSETH, establishing it as the largest single corporate holder of ETH, exceeding even the Ethereum Foundation’s holdings. These developments are occurring while the number of leveraged shorts on ETH reaches an all-time high, and ETH/BTC remains 50% below its November 2024 peak.

The encouraging news is that ETH/BTC has now reclaimed the 1D EMA200 for the first time in a year, which has restored the Ethereum fractal, mirroring the same structure as BTC experienced during 2018–2021. Many market participants are now targeting the $4,000 mark as the next major level, which appears well within reach. Popular crypto Key Opinion Leader “Bonk Guy” even anticipates targets reaching $10,000 before the current cycle concludes, expressing the view that ETH’s journey to $10,000 will be more rapid and aggressive than many expect.

From a technical perspective, the ETH/USD daily chart displays a clear Wyckoff accumulation pattern, culminating in a breakout above resistance following a “Spring” phase and a “Coil and Compression” zone. The asset has moved decisively above the $3,100 level after the “First Expansion/Release,” confirming bullish momentum and entering the designated “Take Profit zone” near $3,278. This substantial upward movement is supported by previous phases, including the Secondary Test (SC), low-volume test, and successful breakout over the downtrend line (creek), all of which indicate a completed accumulation cycle. Price action is now advancing into higher resistance levels, with $3,454 and $3,757 serving as the next major upside targets. Should price experience a retracement, the Fibonacci retracement zones between $2,750 and $2,650 (0.5–0.618 levels) could provide strong support before any continuation.